Ep 280: Is Arbitrus.ai the Future of Dispute Resolution?

Feb 24, 2025

Brian Potts, a commercial litigator and inventor of the LegalBoard, joins Kimo Gandall, CEO of Fortuna Arbitration and Harvard Law student, to discuss Arbitrus.ai, an AI arbitration system that aims to revolutionize dispute resolution. They share insights on its promise to drastically reduce costs and processing times. The conversation dives into the potential for AI in legal decision-making, the concept of an 'Arbitration State,' and the implications of technology on access to justice, raising critical questions about human oversight in legal contexts.

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ANECDOTE

Unexpected Keyboard Success

Brian Potts's LegalBoard keyboard garnered significant attention online.
This prior legal tech venture informs his current work on Arbitrus.ai.

INSIGHT

AI Arbitrator

Arbitrus.ai aims to replace human arbitrators, cutting costs and delivering faster decisions.
It uses AI to predict outcomes and resolve disputes efficiently.

INSIGHT

LLM Limitations and Arbitrus Focus

LLMs excel at summarizing law but struggle with nuanced legal argumentation.
Arbitrus.ai focuses on predicting outcomes, a task well-suited for AI.

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Earlier this month, a legal tech startup called Fortuna Arbitration launched what it says is the first true AI judge – an automated arbitration system called Arbitrus.ai that the company claims can fully replace human arbitrators in resolving legal disputes. The system promises to cut the cost of arbitration from an average of $100,000 to just $10,000, while delivering consistent, unbiased decisions within 72 hours.

On this week’s LawNext, our guests are two of the founders behind this ambitious project. Brian Potts is a partner at Husch Blackwell and an experienced commercial litigator. He is also the inventor of the LegalBoard, a computer keyboard designed for lawyers that was wildly popular when it launched. And Kimo Gandall is the CEO of Fortuna Arbitration and a current third-year Harvard Law student who, along with third co-founder Kenny McLaren, has been working on AI legal prediction systems since well before he went to law school.

They've published their testing of Arbitrus, showing zero hallucinations across 100 test cases. They believe their system will not only make arbitration faster and cheaper, but could eventually evolve into what they call an 'Arbitration State' – a private legal system that could handle a significant portion of disputes that currently clog our courts.

Is this AI judge the future of dispute resolution? Or are there fundamental aspects of legal decision-making that require human judgment? In today’s episode, we'll explore these questions and more.

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